Loading...

Messages

Proposals

Stuck in your homework and missing deadline? Get urgent help in $10/Page with 24 hours deadline

Get Urgent Writing Help In Your Essays, Assignments, Homeworks, Dissertation, Thesis Or Coursework & Achieve A+ Grades.

Privacy Guaranteed - 100% Plagiarism Free Writing - Free Turnitin Report - Professional And Experienced Writers - 24/7 Online Support

Retirement of bond at maturity journal entry

28/10/2021 Client: muhammad11 Deadline: 2 Day

1) A $1,000 bond quoted at 104 would sell for

a) $1,104

b) $1,000

c) $104

d) $10,40

2) When the market rate of interest on bonds is higher than the contract rate, the bonds will sell at

a) A premium

b) Their face value

c) Their maturity value

d) Discount

3) When a bond issued at face value is retired, what is the journal entry?

a) Debit Bond Inters Expense; credit Cash

b) Debit Bonds Payable; credit Cash

c) Debit Cash; credit Bonds Payable

d) Debit Cash; credit Bond Interest Expense

4) The interest rate specified in the bond indenture is called the ______ rate.

a) Market

b) Discount

c) Contract

d) Effective

5) An inflow of cash from investing activities would bee

a) The issuance of stock

b) The sale of investment in equity securities

c) Interest received on loans

d) The purchase of fixed assets.

6) When using the indirect method, which of the following would be included in the net cash flows from operating activities suction of a cash flow statement?

a) Sales of plant, property and equipment

b) Making loans and paying out interest

c) Payment of interest and expenses

d) Issuing bonds and notes

7) If bonds are sold between interest payment dates, the amount of cash issuer receives is

a) More than the market value of the bonds

b) Less than the market value of bonds

c) Equal to the market value of the bonds

d) Equal to the face value of the bonds

8) Bonds payable issued with collateral are called _______ bonds.

a) Debenture

b) Serial

c) Callable

d) Secured

9) A chas outflow from a financing activity would be

a) Paying cash dividends

b) Buying debt and equity securities

c) Paying interest on notes payable

d) Making payments for additional inventory

10) A statement of cash flows is helpful in

a) evaluating cash flows

b) comparing cash flows

c) predicting future cash flows

d) all of the above

11) Assume the following account balances immediately after an interest payment date:

BONDS PAYABLE : $100,000

PREMIUM ON BONDS PAYABLE : $5,000

If the bonds are retired immediately at a total cost of $104,000, what is the journal entry to record this event?

a) Cash 104,000

Loss on Bond Retirement 1,000

Premium on Bonds Payalbe 5,000

Bonds Payable 100,000

b) Bonds Payable 100,000

Premium on Bonds Payable 5,000

Cash 104,000

Gain on Bond Retirement 1,000

c) Bonds Payable 100,000

Loss on Bond Retirement 9,000

Premium on Bonds Payable 5,000

Cash 104,000

d) None of the above

12) The statement of cash flows provides information about all of the following except _________ activities.

a) Organizing

b) Investing

c) Operating

d) Financing

13) A fund set up so that a bond can be retired at maturity is called a _______ fund.

a) Sinking

b) Bond payable

c) Retirement

14) On April 1, Braintree Corporation issued 10%, ten-year, $300,000 bonds at 106. The effective interest rate for these bonds is

a) 10%

b) 9.43%

c) 4.7%

d) 5%

15) For a corporation, a premium on bonds results when

a) the contract rate is greater than the market rate.

b) The contract rate is less than the market rate.

c) The face value is greater than the effective rate.

d) None of the above.

16) When preparing the statement of cash flows by the indirect method, if current liabilities increase the difference is

a) Added to net income.

b) Added to investments.

c) Deducted from net income.

d) Subtracted from investments.

17) Rick Corporation’s Accounts Receivable decreased by $25,000 during the year. What is the adjustment to the cash flow statement when it’s prepared by the indirect method?

a) Subtract the decrease from the net income in operating activities.

b) Add the decrease to the net income in operating activities.

c) Add the decrease in the investing activities section.

d) Subtract the decrease in the financing activities.

18) Using the indirect method of cash flows, depreciation expense is added to net income to determine the

a) Cash flow from investing activities.

b) Cash flow from financing activities.

c) Cash flow from fixed asset activities.

19) A bond payable is similar to which of the following?

a) Accounts payable

b) Accounts receivable

c) Notes payable

d) Cash

20) The difference between the direct and indirect method of computing the cash flow statement occurs in the _______ activities section.

a) Financing

b) Operating

c) Investing

d) Managing

21) When preparing the statement of cash flows by the indirect method, if accumulated depreciation increases the difference is

a) Added to net income.

b) Added to investments.

c) Deducted from net income.

d) Not considered in the statement of cash flows using the indirect method.

22) The activity that’s probably the most important indicator of financial health is the net cast flow from ________ activities.

a) Buying and selling

b) Financing

c) Operating

d) Investing

23) Transactions involving the purchase and sale of fixed assets would be considered _______ activities.

a) Buying and selling

b) Financing

c) Operating

d) Investing

24) A $1,000 bond quoted at 96.5 would sell for

a) $1,000.

b) $965.

c) $96.50.

d) None of the above

25) If a bond is issued at a premium, the effective interest rate is most likely ________ the contract interest rate.

a) Higher than

b) Lower than

c) The same as

d) Answer can’t be determined based on information given.

26) Collins Corporation reported a net income of $35,000, depreciation expenses of $20,000 an increase in Accounts Payable of $2,000, and an increase in Accounts Receivable of $3,000. Net cash flow from operating activities using the indirect method is

a) $55,000.

b) $54,000.

c) $50,000.

d) $56,000.

27) Bonds that are backed solely by the general credit of the corporation issuing them are called ________ bonds.

a) Callable

b) Debenture

c) Indenture

d) Convertible

28) A statement of cash flow’s purpose is to

a) Show the revenue earned.

b) Show the profits that were generated.

c) Show the expenses that were incurred.

d) Show how cash was generated and used during an accounting period.

29) A bond is issued for less than its face value. Which statement most likely would explain whay?

a) The bond’s contract rate is lower than the market rate at the time of the issue.

b) The bond’s contract rate is the same as the market rate at the time of the issue.

c) The bond’s contract rate is higher than the market rate at the time of the issue.

d) The bond isn’t secured by specific assets of the corporation.

30) A statement of cash flow

a) Has three main sections: net cash flow from operating, investing, and financing activities.

b) May be computed directly or indirectly.

c) Is a statement used to better understand the financing and investing activities.

d) All of the above

Homework is Completed By:

Writer Writer Name Amount Client Comments & Rating
Instant Homework Helper

ONLINE

Instant Homework Helper

$36

She helped me in last minute in a very reasonable price. She is a lifesaver, I got A+ grade in my homework, I will surely hire her again for my next assignments, Thumbs Up!

Order & Get This Solution Within 3 Hours in $25/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 3 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

Order & Get This Solution Within 6 Hours in $20/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 6 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

Order & Get This Solution Within 12 Hours in $15/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 12 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

6 writers have sent their proposals to do this homework:

Quick Finance Master
High Quality Assignments
Best Coursework Help
Assignment Helper
Solution Provider
Financial Hub
Writer Writer Name Offer Chat
Quick Finance Master

ONLINE

Quick Finance Master

This project is my strength and I can fulfill your requirements properly within your given deadline. I always give plagiarism-free work to my clients at very competitive prices.

$34 Chat With Writer
High Quality Assignments

ONLINE

High Quality Assignments

I am an elite class writer with more than 6 years of experience as an academic writer. I will provide you the 100 percent original and plagiarism-free content.

$48 Chat With Writer
Best Coursework Help

ONLINE

Best Coursework Help

I have read your project description carefully and you will get plagiarism free writing according to your requirements. Thank You

$25 Chat With Writer
Assignment Helper

ONLINE

Assignment Helper

I am a professional and experienced writer and I have written research reports, proposals, essays, thesis and dissertations on a variety of topics.

$26 Chat With Writer
Solution Provider

ONLINE

Solution Provider

I have assisted scholars, business persons, startups, entrepreneurs, marketers, managers etc in their, pitches, presentations, market research, business plans etc.

$22 Chat With Writer
Financial Hub

ONLINE

Financial Hub

As per my knowledge I can assist you in writing a perfect Planning, Marketing Research, Business Pitches, Business Proposals, Business Feasibility Reports and Content within your given deadline and budget.

$18 Chat With Writer

Let our expert academic writers to help you in achieving a+ grades in your homework, assignment, quiz or exam.

Similar Homework Questions

Gjl animal feed fakenham - Experimental Validity - Accounting software installation project case study - A great and mighty walk - Plink stats rainbow six siege - Leadership and followership ppt - Access IACA job listings page - Casebook Analysis - Hp officejet 6100 cartridge lights blinking - Eduhk online admission system - Abc iview error code 240000 - Laser pointer nz jaycar - Community nursing (Due 24 hours) - Position paper environmental issues - Arup family health clinic - Good alcohol for teenage parties - Military time worksheet pdf - 4 elements of malpractice claim nursing - Sppa nhs pension calculator - What is the payback period for the cash flows - Mini project: meaningful place - Cobargo home brew supplies - Pico questions related to emergency nursing - The world according to humphrey questions - Hot topics in cognitive psychology - Margaret newman nursing theory - New york grid system - What is a leader? - Do indian mcdonalds serve beef - 25 196 square root - Open university teaching assistant - Juniper m10i end of life - The silencing of mary dyer questions and answers - Qantas values and mission - Their eyes were watching god simile - Developing Personas Assignment - PAPER HOTEL RWANDA MOVIE - Pisces monkey suzanne white - Direct online marketing allows zappos to track a user, but it does not help track __________. - The psychology of the simpsons pdf - Administration and Supervision in CRJU – Professor Question 5 - Bloomberg market concepts answers - Squatty potty bed bath and beyond video - Buffy coat smear procedure - Problems on payback period with solution - Unit viii table of dirty tricks - Nurs 6512 head to toe assessment - Worldventures back office login - Product life cycle questions and answers - Carpet stretching tools home depot - Sociological imagination homelessness - Ucd admissions office number - Lpc grades commendation distinction - Solver paints colour chart - Rubric for evaluating children's books - Complete the external environmental scan for your organization - Fundamental theorem of divergence - Shooting stars carol ann duffy - +91-8306951337 get your love back by vashikaran IN Erode - How has lady macbeth changed in act 5 scene 1 - Cognition 5th edition smilek ebook - Waren sports supply accounts receivable aged trial balance 2017 - Managerial Economics - Visual paradigm association arrow - Pro products rust out - Wk 1, HCS/370: Principles of Organizational Behavior - Well researched paper needed - Need 400- 500 words on the following topic - Km 3000 portable key mill - 192 divided by 24 - Mcsa 70 410 pdf - Prepare a Coaching Profile - Bachelor of software engineering unsw - Healthcare Informatics and Technology - Adidas value proposition - Monitoring toddlers and technology is a concern because - Strayer university acc 100 syllabus - Is the word christian in the bible - North seattle community college - I need a response to these 2 discussions for my Marketing in a Global Environment - Looking at statistics - Bio Ethics - Rhetorical Analysis - How to draw a sankey diagram on graph paper - Is helium a chemical property - Hy dairies case study solution - Carlill v carbolic smoke ball co [1893] 1 qb 256. - The new republic unit test - Persuasive speech - Periodic table labeled groups - Molloy building chester university - Nku fnp program reviews - As proud as a simile - Silver nitrate and copper experiment - U.S. History: American Revolution (against) - Organ Leader - The truth about alcohol bbc documentary summary - HELP - Umass ulearn - 122 bus route cairns